GC Demanding 50% Payment Upfront

[Frank Agyeman-Duah]

Am rehabbing a duplex that I purchased out of state. This is my second deal and am still a newbie REI. I found a General Contractor on Craigslist who wants 50% payment upfront before he would start the work. I did estimates from two more contractors but this guy is the one with the lowest estimate. He told me I could pay via PayPal, Cashapp or credit card. Am a little bit uncomfortable about this and like to know if is normal for contractors to do that.

[Rachel Imhof]

@Frank Agyeman-Duah I never had any luck with anyone using GC's or any subs off of Craigslist. There's usually a reason they post on there. Most guys will set up a payment plan that you can pay as work is completed. I have learned by experience but very early on I been burned to many times. Most reputable GC's have more referral work that they can handle. They also have enough money to start the work. These guys ask for 50% upfront and will take on 10 jobs. They will get 20% done and you will be super frustrated with their speed. I would talk to and physically look at their last 3 jobs. Make sure there comparable to what your hiring him for. Doing this extra work will save you time and money!! After that money is paid it's out of your hands. Good luck but learn from all of us who have made those same mistakes cause there cheaper and you want to get started. There's always a reason there the cheapest.